CITU DENOUNCES DESTRUCTIVE EXERCISE ON FDI BY THE MODI GOVT

The Centre of Indian Trade Unions denounces the reckless move of the Narendra Modi Govt in liberalising foreign direct investment in numerous sectors of the economy including core and strategic sectors of economy much to the detriment of national interests. Strategic sector like defence(49%), airlines(49%), banking(74% for both FDI and FII) and media & broadcasting(100%) are being opened up to FDI through automatic approval route. FDI in single brand retail, construction, plantations etc will also be allowed through automatic approval route. FDI cap has been liberally increased from 74% to 100% for several sectors including non-scheduled air-transport service, ground handling, credit-info firms and satellites. Along with allowing 74% FDI in banking sector, the limits on the portfolio investors in the sector has also been eased up. Also notable is the hike in FDI to 49% in news channel and radio and 100% in DTH, cable networks, mobIle TV and teleports which will lead to near total control of media sector by foreign monopolies. FDI with automatic approval will now be allowed to 32 new investment areas covering crucial and strategically important sectors of the national economy. Cap for approval of foreign investment has been liberally raised from existing Rs 3000 crore to Rs 5000 crore.

All such drastic decisions on opening crucial sectors of our economy has been made by the Modi Govt even by evading the formal decision/approval by Cabinet, not to speak of Parliament which is scheduled to meet within next two weeks time on and from 26th November 2015. Following the humiliating defeat in Bihar election, the discredited Narendra Modi Govt has become desperate in banking upon and appeasing their foreign patrons jeopardizing national interests, that too just before the Prime Minister’s visit to London, Malaysia, G-20 and Singapur.

And none of the above concessions to foreign capital is going to benefit the national economy except creating more job-losses through unleashing a process of further de-industrialisation and destruction of domestic capacities. Such retrograde move will kill much more jobs than assumed to generate.

The trade union movement has already recorded their vehement protest against such brazenly anti-people policies and the policy of such mindless drive for FDI through massive countrywide general strike on 2nd September 2015. It appears, the Govt at the centre is still refusing to draw the right lesson and see reasons.

The CITU urges upon the Govt of India to desist from such retrograde design of harming the country, the economy and the people.

CITU calls upon the working people of the country to unitedly condemn such desperate bid of the Govt to make this country and her people a hunting ground and object for loot and exploitation and raise their voice of protest and opposition. CITU also calls upon the trade union movement to prepare for intense countrywide united struggle against the destructive anti-people policies of the Govt.